Global semiconductor revenue is projected to total A$945 billion this year, increasing by 13.6 per cent as supply shortages continue to ease throughout the year.
This is according to new research from Gartner, who note that semiconductor supply and demand will gradually come into balance, as the PC and server boom slows.
“The semiconductor average selling price (ASP) hike from the chip shortage continues to be a key driver for growth in the global semiconductor market in 2022, but overall semiconductor component supply constraints are expected to gradually ease through 2022 and prices will stabilise with the improving inventory situation,” said Alan Priestley, research vice president at Gartner.
The memory market is projected to account for 31.4 per cent of the overall semiconductor market in 2022, Gartner notes.
“DRAM and NAND are expected to be in undersupply in the second quarter of 2022. The NAND market will enter oversupply in the fourth quarter of 2022, while DRAM is expected to move into oversupply in the second half of 2023.
“The combination of megabyte shipments and higher annual average ASPs this year will sustain revenue growth for both markets in 2022, with projected growth of 22.8 per cent for DRAM and 38.1 cent growth for NAND.”
Despite the cheery forecast, Gartner warns that the chip shortage will still hit the automotive supply chain through late 2022.
“Although unit production of automotive vehicles will grow below expectation at 12.5 per cent in 2022, semiconductor device ASPs are expected to remain high due to continued tight supply driving the automotive semiconductor market to double-digit growth (19 per cent) in 2022,” said Priestley.
“Automotive HPC, EV/HEV and advanced driver assistance systems will lead the growth in automotive electronics sectors through the forecast period.”
